
Homeowners Insurance Coverage Exclusions: What You Need to Know
You know you can rely on your homeowners insurance for crucial funds after unexpected events like fire, theft or natural disasters. However, as with any insurance policy, it’s important to understand that homeowners insurance has limitations and exclusions. Knowing what is and isn’t covered can save you from costly surprises down the road.
What Is Not Covered in My Homeowners Insurance Policy?
While homeowners insurance may cover many risks, some events and items are excluded. The following are some standard exclusions:
- Floods
- Ground movements (e.g., earthquakes, landslides and sinkholes)
- Wear and tear
- Mold damage caused by poor maintenance or long-term leaks
- Infestations of termites, rodents and other pests
- High-value art, collectibles or jewelry that exceed policy limits
- Damage to property used for business purposes (e.g., home office equipment)
- Nuclear accidents
- Intentional neglect
What Can I Do to Fill Gaps in My Coverage?
Exclusions can leave you vulnerable to certain losses. The following are some steps you can take to address those gaps:
- Purchase additional policies, such as separate flood or earthquake insurance.
- Add endorsements or riders for high-value items.
- Conduct a home inventory with your insurance provider to identify items needing additional coverage.
- Consider an umbrella policy for extra liability coverage.
- Review your policy regularly with your insurance provider to ensure your policy reflects your current situation.
- Invest in preventive measures, like installing a sump pump to prevent water damage or securing valuable items in a safe.
Get Tailored Solutions
National Premier Insurance can help assess your current coverage and identify areas where you may need additional financial protection. Contact us today to discuss your options.
This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.
Categories: Homeowners